New York Building Congress| June 30, 2011

Collaborative Project TeamLouis Saksen, AIA, FHFI

Vice President Facilities Planning & DevelopmentParkland Health & Hospital System, Dallas, Texas

P R O J E C T

AP P R O A C H

T E AM

T O O L S

L E S S O N S L E A R N E D

S U C C E S S E S

New Parkland Hospital a collaborative project team case study

Parkland Today

Public Hospital for Dallas County (pop. 2.4M)

Academic Medical Center, the primary teaching hospital for University of Texas Southwestern Medical School

A system of 11 Community Oriented Primary Care (COPC) clinics throughout Dallas County

968 licensed bed hospital (approx 725 operating beds)

Level 1 Trauma Center

Only Burn Unit in North Texas

Level 3 Neonatal Intensive Care Unit (NNICU)

Parkland by the Numbers

153,717 emergency

department visits

15440,117 adult

inpatient

discharges40 1,126 NICU

discharges

11

12,905

Surgeries

13266,217 on campus

clinic patient visits

266

15,192

deliveries

15

SOUTHWESTERN MEDICAL DISTRICT

UTSW – North Campus

Harry Hines

UTSW –

Student

Housing

New Parkland SiteExistin

g ASC

UTSW – West CampusZale Lipshy

Children’sExisting

Parkland

St. Paul

Hospital

CampusExisting Parkland

UTD

TWU

UTSW

Medical

School

Parkland

Hospital

Zale Lipshy

UTSW

Children’s

Medical

Center

New

Hospital

Future

Expansion

Current

Hospital

LEGEND

1- ACUTE TOWER

2- WISH TOWER

3- WISH CLINIC

4- MEDICAL CLINIC

5- PARKING

6- ED WALK-IN

7- ED AMBULANCE

8 - SERVICE/ LOGISTICS

9 - DART RAIL STATION

10 - CENTRAL PLANT

5 5

5 5

10 9

4

1

8

6

2

3

57

Podium WISH TowerAcute Tower WISH Clinic Med/Surg Clinic ParkingTrauma Tower

New Parkland Campus – Dallas, TX

11/04/08 - County Bond Election

82%

P R O J E C T

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T E AM

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L E S S O N S L E A R N E D

S U C C E S S E S

New Parkland Hospital a collaborative project team case study

Collaborative Project Delivery Model

“Maintain the alignment of the Program Goals and

Project Design Mission with the Mission of Parkland

Health and Hospital System”

Our Approach to Program Delivery

Program Team Co-location Office

Co-location + Covenant

Co-location + Covenant

Gettin’ to know y’all

(that’s Texan for understanding your team)

By our actions, we will

define the standards of

excellence for public

academic health

systems.

Establish Quality Expectations

P R O J E C T

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New Parkland Hospital a collaborative project team case study

Hybrid Management Model

Leveraging internal strengths with related external consultants in order to maximize resource utilization by incorporating best practices including:

Multiple levels of checks and balances through a comprehensive program controls manual

Multiple peer reviews

Independent audit from outset to closeout

Matrix management to insure continuity of budget and schedule control

Weekly executive oversight

Thorough Board scrutiny

New Parkland Campus Project Team

Our Team

900+

Major Consultants

BARA

M/WBE Consultants

30.5% Goods & ServicesDistrict Goals 25%

35.6% Construction ServicesDistrict Goals 30%

Patient & Family Advisory Committee

Peer Review Campus Master Plan

Facilities Development Advisory Committee

Gil Andres - Andres Construction, Chair

Larry Goode, FAIA - Goode, Fulton & Farrell

Bob Zollars, PE - Huitt-Zollars

Jim Williams - LandPlan Development Co.

Lewis McMahon - former VP Facilities with Texas Instruments

Decision “Necklace”

P R O J E C T

AP P R O A C H

T E AM

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New Parkland Hospital a collaborative project team case study

Program Controls Manual

Program Overview Web-Enabled PCM SystemPerformance ManagementContract ManagementCommunications PlanDesign ManagementSite Safety GuidelinesCost Estimating

Web-Enabled PCM System

Program Control Management SystemProgram CollaborationDashboard and Program Performance MetricsPCM TrainingPCM System Availability

Web Based Program Collaboration

Systems Integration

Align Project Management System with Financial

System

Automated Data Exchange

Electronic Invoicing & Approval

P R O J E C T

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T E AM

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S U C C E S S E S

New Parkland Hospital a collaborative project team case study

CELEBRATE!

CELEBRATE!

CELEBRATE!

EVERYTHING!

IT Requirements

Insurance Requirements

Master Utility Planner

Logistics and Permitting

Procurement Strategy

Contracting

Procurement

Change Management

Invoicing

Document Management

Scheduling

Define Processes Early

Current Corridor

Example: Future On-stage Corridor

Example: Future Off-stage Area

Maintain Guiding Principles

Work / Life Balance

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New Parkland Hospital a collaborative project team case study

Executive Steering CommitteeParkland Leadership Dedicated to the Program - Weekly Meetings

New Parkland Campus Program Management TeamDedicated Program Management Team (New Hires – Top Talent)!Dedicated Finance Team with AP CapabilitiesDedicated Clinical Team – Clinical LiaisonsDedicated Logistics Planning TeamDedicated Transition Planning TeamDedicated Technology Integration ManagerDedicated Procurement ManagerDedicated Audit TeamDedicated FF & E Manager

Parkland Staff AugmentationProgram Controls - Critigen / Foster CM / APEXOwner’s Consultants

SWIFT and TIGER Teams - Solve Problems….Move on!

New Parkland Campus

NPC Revised Budgets - June 13, 2011

Project Cost Items

Subtotal

Project Costs

(All Projects)

Site Demolitions

Phase 1

#17651

Site Demolitions

Phase 2

#TBD

Relocations & Renovations

#17652

Sitework

(East of Dart)

#17653

Sitework

(West of Dart)

#17727

Central

Utility Plant

#17707

Parking Structure

#17708

Acute Care Hospital +

WISH Tower

#17558

WISH Clinic & Admin.

Offices

Core & Shell

#17728

Footnote: Amount +, (-) Amount +, (-) Amount +, (-) Amount +, (-) Amount +, (-) Amount +, (-) Amount +, (-) Amount +, (-) Amount +, (-)

3,489,342 GSF NA NA NA 19 Acres 40 Acres90,000 GSF

$815/SF

823,473 GSF

$12,000/Car

1,866,112

GSF

$338/SF

135,000 GSF

$140/SF

Construction $ 787,936,262 $ 1,384,896 $ (251,329) $ 251,329 $ 251,329 $ 3,523,107

$ (45,338) $ 6,229,987 $ (732,550) $ 27,079,335 $ - $ 67,822,830 $ (83,951) $ 23,863,932 $ - $634,303,360 $ - $ 23,477,486 $ -

Owners Cost $ 17,664,155 $ 172,700 $ (35,000) $ 35,000 $ 35,000 $ 266,528 $ (24,652) $ 93,298 $ - $ 3,151,000 $ - $ 1,720,100 $ 83,951 $ 915,529 $ - $ 10,910,000 $ 2,000,000 $ 400,000 $ -

A/E Fees $ 55,748,232 $ 211,377 $ (19,698) $ 19,698 $ 19,698 $ 356,255 $ (51,263) $ 536,948 $ - $ 2,390,198 $ - $ 4,719,142 $ - $ 905,000 $ - $ 45,624,244 $ - $ 985,370 $ -

Medical Equipment $ 88,820,292 $ - $ - $ - $ - $ 40,436 $ - $ - $ - $ - $ - $ - $ 88,779,856 $ (4,672,624) $ - $ -

FF&E $ 22,901,929 $ - $ - $ - $ - $ 44,629 $ (187,418) $ - $ - $ 32,000 $ (268,000) $ 370,000 $ (30,000) $ 22,455,300 $ (1,536,817) $ - $ -

IT $ 31,644,559 $ - $ - $ - $ - $ 585,887 $ (221,229) $ 144,165 $ - $ 50,000 $ (50,000) $ 800,000 $ (755,500) $ 111,000 $ - $ 29,763,507 $ (620,133) $ 190,000 $ (100,000)

Contingency $ 34,972,542 $ - $ - $ - $ - $ - $ (50,000) $ - $ (767,450) $ 1,640,000 $ - $ 3,805,875 $ (1,524,295) $ 550,000 $ (645,147) $ 27,716,667 $ (6,168,965) $ 1,260,000 $ -

Subtotal - Approved Projects $ 1,039,687,971 $ 1,768,973 $ (306,027) $ 306,027 $ 306,027 $ 4,816,842 $ (579,900) $ 7,004,398 $ (1,500,000) $ 34,310,533 $ (50,000) $ 78,899,947 $ (2,547,795) $ 26,715,461 $ (675,147) $859,552,934 $ (10,998,539) $ 26,312,856 $ (100,000)

Subtotal - Projects to be Loaded in 2011 $ 120,668,854

(A) Total Project Costs $ 1,160,356,825

Projects to be Loaded in 2011

Pro

ject

C

ost

Item

s

WISH Clinic

& Admin. Offices

(Interiors)

#17729

Med/Surg Clinic &

Admin. Offices

#17654

Logistics Center Bldg.

#17730

SUB

TOTA

LS

Program Cost Items + , (-)

Land (#12000) $ 17,458,312 $ -

Parkland Program Management (#17717) $ 13,550,000 $ -

135,000 GSF

$69/SF+ , (-)

315,000 GSF

$200/SF+ , (-)

90,000GSF

$144/SF+ , (-)

CH2MHILL Program Controls (#17716) $ 14,800,000 $ - Construction $ 9,259,000 $ 63,000,000 $ 12,960,000 $ 85,219,000

Owner Consultants (#17718) $ 54,149,297 $ (2,583,203) Owner's Cost $ - $ - $ - $ -

(B) Subtotal - Land/ProgramManagement/Owner's Consultants $ 99,957,609 A/E Fees $ 1,026,130 $ 4,410,000 $ 648,000 $ 6,084,130

TOTAL ESTIMATED PROGRAM COST (A + B) $1,260,314,434 Medical Equip. $ 665,820 $ (35,043) $ 2,765,711 $ (145,564) $ 3,431,531

APPROVED PROGRAM BUDGET $1,271,081,000 FF&E $ 1,179,200 $ 3,045,600 $ 1,080,000 $ 5,304,800

Variance (Over / Under) $ 10,766,566 IT $ 2,000,000 $ (155,000) $ 6,328,750 $ (500,000) $ 1,237,500 $ 9,566,250

Contingency $ 1,435,708 $ 8,034,885 $ 1,592,550 $ 11,063,143

Subtotal $ 15,565,858 $ (190,043) $ 87,584,946 $ (645,564) $ 17,518,050 $ - $120,668,854

Parkland Health & Hospital System

Owner Controlled Insurance Program

Projected Program Premium and Claim Costs

June 22, 2011

Coverage

Recommended

Insurer

Quoted

Premium

Surplus

Lines,

Expenses Terrorism

Fixed Total

Costs

Max. Claims,

Est. Ded.

Estimated

Total Costs

Summary,

Estimated

Total Costs

General Liability * Hartford Ins. Co. 1,482,028 14,820 1,496,848 1,496,848 11,258,581

WC & EL * Hartford Ins. Co. 2,389,947 720 47,316 2,437,983 7,323,750 9,761,733

Excess Liability AWAC 610,000 610,000 610,000 1,277,400

Excess Liability Liberty Int'l 267,400 267,400 267,400

Excess Liability Arch 99,000 1,000 100,000 100,000

Excess Liability Chartis 297,000 3,000 300,000 300,000

Pollution: Owner's** Chartis 185,830 9,124 194,954 194,954 556,428

Pollution:

Contractors'** Chartis 344,556 16,918 361,474 361,474

Prof. Liab.: Design Zurich 2,850,000 28,500 2,878,500 2,878,500 4,387,642

Prof. Liab.:

Contractors' Zurich 1,424,300 70,599 14,243 1,509,142 1,509,142

Builder's Risk ^ FM Global 2,280,984 2,280,984 2,280,984 2,280,984

12,231,045 97,361 108,879 12,437,285 7,323,750 19,761,035 19,761,035

New Parkland Campus

Owner Controlled Insurance Program

Projected Program Premium and Claim Costs

June 22, 2011

Coverage Recommended Insurer Quoted Premium

Surplus Lines,

Expenses Terrorism Fixed Total Costs

Max. Claims, Est.

Ded.

Estimated Total

Costs

Summary,

Estimated Total

Costs

General Liability * Hartford Ins. Co. 1,482,028 14,820 1,496,848 1,496,848 11,258,581

WC & EL * Hartford Ins. Co. 2,389,947 720 47,316 2,437,983 7,323,750 9,761,733

Excess Liability AWAC 610,000 610,000 610,000 1,277,400

Excess Liability Liberty Int'l 267,400 267,400 267,400

Excess Liability Arch 99,000 1,000 100,000 100,000

Excess Liability Chartis 297,000 3,000 300,000 300,000

Pollution: Owner's** Chartis 185,830 9,124 194,954 194,954 556,428

Pollution: Contractors'** Chartis 344,556 16,918 361,474 361,474

Prof. Liab.: Design Zurich 2,850,000 28,500 2,878,500 2,878,500 4,387,642

Prof. Liab.: Contractors' Zurich 1,424,300 70,599 14,243 1,509,142 1,509,142

Builder's Risk ^ FM Global 2,280,984 2,280,984 2,280,984 2,280,984

12,231,045 97,361 108,879 12,437,285 7,323,750 19,761,035 19,761,035

Max Claims Est based on deductibles per occurrence: Max claims cost may vary based on actual project payroll

WC / GL - 250,000 Per Occurrence

Pollution Liability - 100,000 Per Occurrence

Builders Risk - 25,000 Per Occurrence

Contractor Incent ive P lan

•Incentive Payout Scale

From To % Bonus Paid

4.83 5.00 100%

4.65 4.82 95%

4.46 4.64 90%

4.28 4.45 85%

4.10 4.27 80%

3.92 4.09 75%

3.73 3.91 70%

3.55 3.72 65%

3.37 3.54 60%

3.18 3.36 55%

3.00 3.17 50%

“5” – Exceeding all goals and expectations

“4” – Better than average performance

“3” – Meeting requirements

“2” – Substantial improvement required

“1” – Unacceptable performance

Scoring CriteriaCategory 1 – Drive Client Satisfaction

Category 2 – Predictable Financial

Performance

Category 3 – Schedule Effectiveness &

Reliability

Category 4 – Effective Communication

Category 5 – Subcontractor Management

Category 6 – Quality Assurance

Category 7 – Maximize M/WBE Participation

Category 8 – Close-Out

Hospital Ground Breaking - Oct 2010

Construction - 42 Months

Transition Planning - 24 Months

Completion - Late 2014

Move Management - 6 Months

Looking Ahead

Completed to Date Relocation and Renovation Projects

Demolition Phase 1

East /Trinity Parking Lot (19 acres)

In Progress June 2011

New Parking Garage On Schedule and under Budget - Construction Completion January 2012

Acute Care Hospital, WISH Clinic Core & Shell, West Site Work BOM Approval of Guaranteed Maximum Price (GMP) - January 25, 2011

$8 Million under Budget

Construction Substantial Completion - August 2014

Activation and Move - Late 2014/Early 2015

In Progress June 2011 (Continued) Central Utility Plant

Guaranteed Maximum Price (GMP) received April 2011

Seeking Board Approval - May 24, 2011

$68 Million Construction Cost (under budget)

Future Projects Phase 2 Demolition – Lofland Garage and Skybridge

Completion - April 2012

Logistics Building Anticipated Construction Start - August 2012

Anticipated Construction Substantial Completion - August 2013

Med-Surg Clinic / Administration Finalizing Program / Scope

Anticipated Construction Start - January 2013

Anticipated Construction Substantial Completion - August 2014

May 2010

January 2011

May 2011

New York Building Congress| June 30, 2011

Collaborative Project Team

Thank You!

Louis C . Saksen, A IA , FHFIV ice Pres ident

Fac i l i t ies P lanning & Development